Question

The following questions highlight how changes in numbers can be measured in both absolute and relative percentage terms. Two stores in a mall are having promotions. The first, Annie's Attic, is offering $15 off any purchase. The other, Betty's Breakables, is offering 25% off any purchase. Each store offers an antique music box at a (non-discounted) price of $80, and a faux Ming vase for $40. The promotional price of an antique music box at Annie's Attic is _____, and the promotional price of an antique music box at Betty's Breakables is _____. Therefore, if you are in the market for an antique music box, you should buy it at _____. The promotional price of a faux Ming vase at Annie's Attic is _____, and the promotional price of a faux Ming vase at Betty's Breakables is _____. Therefore, if you are in the market for a faux Ming vase, you should buy it at _____. If the promotional price of a crystal candlestick is the same at the two stores, that means the non-discounted price of the candlestick must be _____.

Answer 1

Answer:

Absolute and Relative Percentage Terms

The promotional price of an antique music box at Annie's Attic is _$65_, and the promotional price of an antique music box at Betty's Breakables is _$60_.

Therefore, if you are in the market for an antique music box, you should buy it at _Betty's Breakables_.

The promotional price of a faux Ming vase at Annie's Attic is _$25_, and the promotional price of a faux Ming vase at Betty's Breakables is _$30_.

Therefore, if you are in the market for a faux Ming vase, you should buy it at _Annie's Attic_.

If the promotional price of a crystal candlestick is the same at the two stores, that means the non-discounted price of the candlestick must be __$60_.

Explanation:

a) Data and Calculations:

                                  Annie's Attic      Betty's Breakable

Promotional offers            $15                        25%

Non-discounted prices:

Antique music cost          $80                        $80

Faux Ming Vase               $40                        $40

Promotional prices:  

Antique music                  $65 ($80 - $15)    $60 (1 - 0.25) * $80

Faux Ming Vase               $25 ($40 - $15)    $30  (1 - 0.25) * $40

For the promotional price to be the same at the two stores, $15 will be equal to 25%, the two promotional offerings.

Therefore, the non-discounted price of the candlestick must be = $15/25% = $60

Annie's Attic = $45 ($60 - $15)

Betty's Breakables = $45 (1 - 0.25) * $60